AstraZeneca, the largest pharmaceutical company in Britain, has announced its acquisition of a Canadian biotechnology company that specializes in innovative cancer therapies for $2.4 billion (£1.9 billion). This purchase is part of a series of acquisitions aimed at enhancing the company’s collection of cutting-edge medications.

The Anglo-Swedish business reached a deal to purchase Fusion Pharmaceuticals, a company working on advanced radioconjugates that provide an alternative to chemotherapy and radiotherapy. This treatment has gained attention as an innovative way to treat cancer, as it delivers a radioactive material directly to cancer cells using precise targeting with substances like antibodies, peptides, or small molecules.

The latest drugs based on actinium, a radioactive element, effectively reduce harm to healthy cells and allow treatment of tumors that are not within the reach of external beam radiation, as opposed to conventional radiotherapy.

FPI-2265, the most cutting-edge treatment offered by Fusion, is intended for patients with metastatic prostate cancer who are unable to be cured through prostate removal. Currently, it is undergoing testing on patients in intermediate (phase II) trials.

The agreement will introduce fresh knowledge, research and production capabilities to AstraZeneca’s cancer offerings, and enhance its position in Canada. The business is currently partnered with Fusion.

Susan Galbraith, who runs AstraZeneca’s oncology R&D operation, said: “Between 30% and 50% of patients with cancer today receive radiotherapy at some point during treatment, and the acquisition of Fusion furthers our ambition to transform this aspect of care with next-generation radioconjugates.

With the help of Fusion, we have the chance to speed up the progress of FPI-2265 in potentially treating prostate cancer. Additionally, we can utilize their actinium-based technology to create radioconjugates that will serve as the basis for treatment regimens.

Susannah Streeter, the head of money and markets at Hargreaves Lansdown, said: “AstraZeneca is very much at the forefront of new ways to treat cancer and is not afraid to make multiple bets on potential first-in-class candidates.

AstraZeneca’s cancer treatments currently make up 33% of their sales and contribute significantly to their growth. These treatments have the potential for sustained growth as more patients gain access, approvals are obtained in new markets, and new uses are discovered through ongoing clinical trials. However, the company is aware of the high costs of product development through research and marketing, so they are pursuing growth through acquisitions instead of solely focusing on long-term internal drug development, which could potentially hinder their profits.

AstraZeneca has acquired companies in different fields and recently finalized the purchase of Gracell Biotechnologies for $1.2 billion. This biotech company focuses on creating cell-based treatments for cancer and autoimmune disorders and has facilities in both China and the United States.

In November, AstraZeneca entered the weight-loss drug market with a significant effort, by reaching an exclusive licensing agreement with a Chinese company for a pill that targets obesity and type 2 diabetes in its early stages of development.

Source: theguardian.com